Outsourced And Proud: 3 Benefits Of Third-Party Warehousing

Costs for many consumer goods have come down a lot over the years. One of the most important developments in lower costs has been decreasing warehousing costs. Now, businesses big and small can often tap into warehousing cost savings by using integrated warehousing and third-party warehouse inventory services. This way, businesses can pass on cost savings to customers and also potentially improve their competitive market advantage.

Maintaining, organizing, staffing, and managing a warehouse is very complex. Some of the biggest companies have thousands of employees working in warehousing. Obviously, a small business likely can’t afford and doesn’t need a solution on that scale. Still, it’s always wise to tap into cost-savings when possible. By finding the right integrated warehousing provider, you can tap into the large-scale warehouse advantage of a bigger company. This way, even small businesses can secure large savings.

It’s also possible to enter into the warehouse services business if you know how to sell warehouse space. Entrepreneurs right now are establishing businesses by offering other companies big and small warehouse solutions. Whatever the case, warehouses and logistics in general are crucial in a globalized economy. It’s wise to look for business and cost-saving opportunities as they can improve your position in the market.

Running a business is kind of like having two (or three) full-time jobs. From employee management to production, you’ve got your hands full. Since the logistics of your company is one of its most crucial aspects (after all, you can’t have satisfied customers if they never receive their orders), you may think that tackling warehousing and distribution services yourself is absolutely necessary.

 

We’re here to tell you that’s simply not the case! In fact, you are able to do your job, as the head of the business, much easier when you don’t have to keep an eye on every single warehouse and every single product within it. Here are three reasons why you should let someone else handle the complexities involved in warehousing and distribution.

 

• Avoid long-term leases: Renting a large storage space to suit your warehousing needs usually involves a strict lease. This means you’ll be stuck between a rock and a hard place if business suddenly slows more than you expected it to. Third-party commercial logistics, on the other hand, often offer flexible pricing to expand or shrink as your business requires, adapting to your personal and financial needs with ease.

 

• No extra staff required: Taking on an entire new building (or multiple buildings) means you’re going to have to hire more staff. Rather than struggling through lengthy interviews, your third-party warehousing company will find and fill positions themselves in addition to managing the new workers after the fact. Since third-party companies are experts in their fields, you don’t have to worry.

 

• More effective: You didn’t build a company from the ground up just to pack and ship boxes; when you rely on a third-party company, you’ll be able to focus on what really matters to you and your company. When you’re not distracted by the minutia involved in warehousing and distribution, you’ll be able to spend your time improving things that will have a greater impact on your bottom line.

 

Think about the fact that two-thirds of all Canada-US trade is moved by truck: do you think every business owner was capable of personally managing the nuances involved in such a convoluted situation? Of course not! Leave the stress of border control and warehouse management to the professionals; you won’t regret it.